The company has fixed March 31 as the record date to determine the eligibility of shareholders for the said dividend payment.
The shares of Dwarikesh Sugar will go ex-dividend a day or two days before the record date. When a company goes ex-dividend on a particular date, its stock does not carry the value of the next dividend payment. An ex-dividend date also dictates which shareholders are eligible to receive the dividend payment.
The interim dividend outgo will be Rs 37.66 crore. This is the second consecutive year in which the company declared an interim dividend. The company had similarly announced an interim dividend of Rs 2 per share during the previous financial year.
“We are pleased to reward our shareholders with an interim dividend for the current financial year. This follows a steady business performance and a robust financial position. The interim dividend is a testimony of our commitment to reward shareholders after earmarking adequate resources for business reinvestment,” said Vijay S Banka, MD, Dwarikesh Sugar Industries.
“We remain committed to rewarding our shareholders. Our broad based and diversified revenue mix will help mitigate uncertainties associated with the sugar business and accelerate evolution of our company into a bio-fuel organization,” he added.
Following the commissioning of the distillery expansion in 2022, the company said that its operations are optimally integrated. The distillery capacity is a consolidated 337.5 KL of ethanol production per day across two sugar units and the plants are being operated at their rated capacities.In the past 12 months, Dwarikesh Sugar has declared an equity dividend amounting to Rs 2 per share, which results in a dividend yield of 2.38%
On Monday, the scrip closed 3.53% lower at Rs 84.70 apiece on NSE. In the last two years, the stock has risen by a massive 168%.
Dwarikesh Sugar is a diversified and integrated sugar company with manufacturing plants in Uttar Pradesh. The company derives revenue from sugar, by-products (molasses) and value-added products like ethanol and power.